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ENERGY NEWS

 
     
 

Indago reports success offshore Oman

Posted: 8 January 2007

Indago Oman Limited, a wholly owned subsidiary of Indago Petroleum Limited, has concluded testing operations on the West Bukha-2A (WB2A) well, offshore Oman.

Sustained production rates of 25MMscf/d and 8364 bopd were achieved from the upper Ilam/Mishrif/Mauddud formation in the final test, complementing the flows of up to 4,392 bopd discovered in the lower Thamama formation in the first test.

In addition, IOL as operator of Block 47 onshore Oman, has concluded the first stage of operations on the Hawamel-1A exploration well in Block 47.

West Bukha-2A (WB2A) Testing (Offshore Sultanate of Oman, Indago 40%)

In a previous release on 21st November 2006 it was reported that the main target in WB2A, the Ilam/Mishrif/Mauddud, over a perforated interval of 60m spanning a depth from 4005m to 4127.5m (MDRKB), had been flowed at approximately 7600 bbls/ d and 20.5 MMscf/d with a flowing tubing pressure of around 2450 psia before surface and downhole equipment failures forced us to curtail the test.

After repair and replacement of the equipment the test was conducted to a successful conclusion.

The same interval was flowed at various rates over the period from 5th to 10th December, including one for 15 hours on a choke setting of 72/64" which flowed at an average of 24.9 MMscf/d and 8364 bbls/d of 41.5o API oil, with a tubing pressure of 2090 psia.

By the end of that flow the water cut, resulting from the previous well kill and subsequent re-acidisation, had fallen to 3%, and no water was recorded during the final flow period.

These flows are additional to those recorded from the Thamama formation of up to 4392 bbls/d of 42o API oil, as reported in our release of 8th November 2006. Therefore the total combined rate from these two separate zones (Thamama plus Ilam/Mishrif/Mauddud) is 12,756 bopd and 26.3 MMscf/d.

Hawamel-1A (Block 47 Onshore Sultanate of Oman, Indago 100%) 

Indago drilled through the two target reservoirs, on the Izz structure, in Hawamel-1A over the period 6th to 12th December, during which gas shows were recorded.

The Natih formation was encountered at a depth of approximately 2135m and the Thamama formation at approximately 2585m.

Following electric logging and MDT (formation pressure testing) operations, our interpretation is that gas is present but that the formation porosities and permeabilities are low.

It is considered unlikely that standard testing procedures would achieve a commercial flowrate and that a more innovative approach will be required.

 In particular the Company intends to examine the feasibility of drilling an underbalanced, horizontal wellbore through the formations already encountered.

It is believed that this can be achieved at a comparable cost to a standard test, but at a later date, when the necessary equipment is available.

Consequently the Company has decided to suspend the well, with casing down to the existing target formations, in such a way that it can be easily re-entered, using a smaller rig than is currently on site.

The large, high power rig currently on the Hawamel-1A well location will now move to spud the Al Jariya well on the Jebel Hafit prospect, towards the end of January 2007.

"Our success at West Bukha, achieving such steady and productive flows has further underpinned the commercial viability of the project and is another step closer to future production," said Peter Sadler, CEO of Indago Petroleum.

"Finding a valid structure and likely gas accumulation at Hawamel is encouraging, and whilst the formation is highly complex, many of the uncertainties of the prospect have now been removed.

"The formation porosities encountered in Hawamel were similar to those in wells that have produced in other fields currently operated by Indago and horizontal drilling at Hawamel-1A might encounter an improved area of productivity.

The potential prize is substantial if the final problem can be overcome; we have a clear task ahead to design and execute that solution."

 

 
     

Supported by:

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Horizon Oil

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